German State of Schleswig-Holstein Pushes Gambling Act Ahead

In late 2011, Schleswig-Holstein, the northernmost of the sixteen states of Germany, began the deregulation of its current system and the adaptation of new online casino games legislation. The Schleswig-Holstein Gambling Act went into effect on January 1, 2012 and opens the door for licensed companies to begin their operations in March 2012. The Schleswig-Holstein legislation was approved by the European Commission.

The Gambling Act in Schleswig-Holstein passed by just one vote. Supporters of the bill made the case that the new system would not create a gambling free-for-all. The biggest attraction of the new systems is that it will likely pump about sixty million euro into the economy through tax revenue.

An increase in online casino games license applications is expected by Schleswig-Holstein authorities. The Interior Ministry confirmed that they have received seven applications already - six from sports betting operators and the seventh from a casino operator.

Commenting on the gaming systems of other German States, Klaus Schlie, Interior Minister, said that rather than Schleswig-Holstein abandoning its European Commission approved gaming legislation in favor of the more limiting systems adopted by the other fifteen German states, they should prepare to adapt the Schleswig-Holstein system.

He continued, “The treaty agreed upon by the latter was not ratified by Brussels,” also stating that he doubts it will move forward as “it cannot justify why, for example, the number of licenses is restricted to twenty”.

Operators will receive gaming licenses in Schleswig-Holstein for up to six years. The European Commission is expected to give its ruling on the systems proposed by the other fifteen German states shortly.